**This article shows the median net worth by age 30 by percentiles. The median net worth is $8,216 for 18–24 year olds and $7,512 for 25–29 year olds.**

Contents

## What is net worth?

Net worth is the value of all assets minus debts. Net worth is what you own minus what you owe.

The formula for net worth is **Net Worth = Total Assets – Total Liabilities.**

To calculate your net worth, see Net Worth Calculator: What’s Your Net Worth?

## What is the average U.S. net worth?

The most recent data shows **the U.S. average net worth is $748,800**. However, a better comparison is the **median net worth of $121,700**.

For people in their 20s, median net worth is $8,216 for 18-24 year olds and $7,512 for 25-29 year olds.

Age | Average Net Worth | Median Net Worth |
---|---|---|

Ages 18-24 | $28,707 | $8,216 |

Ages 25-29 | $49,388 | $7,512 |

The median is a better number to compare than the average. The median is the 50th percentile. Half of the families are above and half are below. The average is increased by large amounts in the top 1%.

For example, the average net worth of $49,388 for ages 25-29 is in the 70th percentile. 70% of households are below and only 30% are higher.

Since net worth increases with age, it is a great number to benchmark for individuals. Young people have less wealth than older people. So, compare yourself to peers in your age group.

U.S. net worth by age data comes from two sources:

- Federal Reserve Board’s Survey of Consumer Finances with income and net worth numbers from 2019. This is the latest information available from the Federal Reserve.
- Net Worth by Age Calculator for the United States from the excellent financial site DQYDJ.

## Net worth by age

The following graph shows the 2019 U.S. household median net worth by age. The Federal Reserve publishes this report every three years. The next report will be released in 2023.

## Net worth by age 30

Americans in their 20s have the lowest net worth for any age group.

The 20s are a time of lots of life changes. People in their 20s may be:

- becoming independent
- starting a career
- attending college
- attending graduate school
- starting a family
- borrowing student loans
- using credit cards
- beginning savings and 401k plans

People in their 20s usually have lower earnings and assets and more student debt. This means that a large number of people in their 20s have negative net worth.

According to the DQYDJ Net Worth by Age Calculator up to 29% of people in their 20s have negative net worth.

- Ages 18-24 – 28% have negative net worth
- Ages 25-29 – 29% have negative net worth

### Average net worth by age 25

The following table shows net worth by age 25 sorted by percentiles.

Here is how to understand the percentiles for 18-24 year olds:

- 30th percentile of $520 means that 30% are below and 70% above this net worth.
- 50th percentile of $8,216 is the median. Half are above and half below this net worth.
- 90th percentile of $93,732 is in the top 10% of net worth. 90% of households are below this net worth.

Net Worth Percentile | Ages 18-24 |
---|---|

10 | ($17,982) |

20 | ($4,061) |

25 | ($1,415) |

30 | $520 |

40 | $2,949 |

50 | $8,216 |

60 | $13,747 |

70 | $20,622 |

75 | $24,791 |

80 | $37,182 |

90 | $93,732 |

The 99th percentile for 18-24 years olds is $435,077. This is the Top 1% for the age group.

Here is the graph for net worth for ages 18-24 in percentiles.

### What is a good net worth by age 25?

Here are net worth goals for 18-24 year olds. This table is helpful to compare your net worth with your age group.

Net Worth Goals | Ages 18-24 |
---|---|

Below average | Below $8,216 |

Average | Above $8,216 |

Good | Above $24,791 |

Great | Above $93,732 |

To have a good net worth by age 25 aim for the 75th percentile of $24,791 and above.

### Average net worth by age 30

The following table shows net worth by age 30 sorted by percentiles.

Here is how to understand the percentiles for 25-29 year olds:

- 30th percentile of $2 means that 30% are have zero or negative net worth. 70% have positive net worth.
- 50th percentile of $7,512 is the median. Half of 25-29 year olds are are above this net worth. The other half is below.
- 90th percentile of $152,063 is in the top 10% of net worth by their age group. 90% of households are below this net worth.

Net Worth Percentile | Ages 25-29 |
---|---|

10 | ($30,390) |

20 | ($11,375) |

25 | ($3,664) |

30 | $2 |

40 | $3,475 |

50 | $7,512 |

60 | $15,833 |

70 | $47,663 |

75 | $61,568 |

80 | $75,535 |

90 | $152,063 |

The 99th percentile for 25-29 years olds is $606,188. This is the Top 1% for the age group.

Here is the graph for net worth for ages 25-29 in percentiles.

### What is a good net worth by age 30?

Here are net worth goals for 25-29 year olds. This table is helpful to compare your net worth with your age group.

Net Worth Goals | Ages 25-29 |
---|---|

Below average | Below $7,512 |

Average | Above $7,512 |

Good | Above $61,568 |

Great | Above $152,063 |

To have a good net worth by age 30, aim for the 75th percentile of $61,568 and above.

## Tips to increase your net worth

Here are 15 tips to increase your net worth:

Remember, net worth is assets minus debts. So, you need to increase assets and decrease debt.

- Make savings a habit.
- Pay off credit cards fast. Avoid credit card debt if you can.
- Pay off all your debts, especially any non mortgage loans.
- Invest in stocks using low-cost index funds
- Investments are better than savings. (Use total stock market index funds like VTSAX or SWTSX.)
- Let your investments grow using compound interest. Remember the Rule of 72.
- You need a plan, so make and follow a budget.
- Invest in a retirement plan at work, like a 401(k) or a Roth IRA.
- When you increase your income, increase your investments.
- Control spending so you can save and invest more.
- Track your net worth and update it annually.
- Compare your net worth to your age.
- Increase your skills to improve your income. Learn to earn.
- Owning a home is an investment. Homeowners typically have higher net worth
- Be patient because net worth grows with age and income.

## More about net worth

Here are more net worth articles on Finally Learn:

What is Net Worth and Why Does it Matter?

How to Build Wealth: 10 Tips for Financial Freedom

Jeff Mankin teaches financial literacy and Excel. He is the founder of Finally Learn.